What This Statute Says
A.R.S. § 42-11005 lays out the suit-and-refund procedure for property taxes paid under protest. The taxpayer can sue the county within one year of payment if the tax was illegally levied or collected. The remedy is a refund with interest.
A. Except as provided in chapter 16, article 6 of this title, within one year after payment of the first installment of tax, an action may be maintained to recover any tax that was illegally collected.
A.R.S. § 42-11005This statute is the procedural twin of § 42-11004. The pay-first rule there is paired with this right-to-refund here. The taxpayer must file the suit in the county where the tax was paid, within one year of payment. The action names the county treasurer and county as defendants.
For estates, the practical use is narrow. Most disputes about valuation run through the State Board of Equalization and the Tax Court under a separate appeal track, not through this statute. § 42-11005 is the catch-all for taxes that were truly unlawful, for example, taxes on property that was constitutionally exempt the whole time.
When This Statute Comes Into Play
This statute typically becomes relevant in three situations. A property owner is reviewing an annual tax bill. An estate is being administered and the personal representative has to address ongoing property tax obligations. Or a charitable or nonprofit organization is claiming or maintaining an exemption. The statute is part of a larger framework in chapter 11 of title 42 and operates alongside the related sections cross-linked below.
What This Means for Arizona Families
Most families never think about Arizona property tax statutes until they are sitting at a closing table on an inherited home, reviewing an unexpected tax bill, or trying to claim an exemption for a surviving spouse. When that moment arrives, the rules in chapter 11 of title 42 are the framework you are working inside.
If you are holding real property in a revocable living trust, the trust structure does not by itself remove the property from the tax rolls. The exemption has to come from a specific statute. Our FAQ on what to do with property you inherit in Arizona covers the immediate practical questions, and our FAQ on probate timelines covers how a contested or stalled administration can affect tax filings and exemptions.
If you are administering an estate, the personal representative has a duty to keep property taxes current, to claim available exemptions where appropriate, and to maintain documentation in case the assessor reviews a claim later. Calendar the February exemption filing window each year for any property where a widow, widower, or disability exemption applies. Once the deadline passes, the saving for that year is usually lost.